1 State University System Tuition and Fees. 2 Florida Tuition Within proviso in the General Appropriations Act and law, each board of trustees shall set.

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Presentation on theme: "1 State University System Tuition and Fees. 2 Florida Tuition Within proviso in the General Appropriations Act and law, each board of trustees shall set."— Presentation transcript:

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2 Florida Tuition Within proviso in the General Appropriations Act and law, each board of trustees shall set university tuition and fees. (Section 1009.24, Florida Statutes) Within proviso in the General Appropriations Act and law, each board of trustees shall set university tuition and fees. (Section 1009.24, Florida Statutes) Tuition is based on a per credit hour charge, except for medical related tuition which is an annual fee. Tuition is based on a per credit hour charge, except for medical related tuition which is an annual fee.

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4 Overall Tuition Philosophy of the States Philosophy2002-031996-97 Tuition should be as low as possible 30%28% Tuition should be moderate 13%28% Tuition should be high 0%4% Tuition policy is guided by institutional-level philosophy or budgetary needs/no statewide tuition philosophy exists 37%23% Other20%17% Source: State Tuition, Fees, and Financial Assistance Policies, 2002-03 (SHEEO)

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6 Florida Tuition Increases 2003-2004 8.5% across the board 8.5% across the board Up to an additional 6.5% discretionary increase for all levels except in-state Undergraduate Up to an additional 6.5% discretionary increase for all levels except in-state Undergraduate 4 universities used the full 6.5% discretionary authority 4 universities used the full 6.5% discretionary authority 1 university did not use any of the discretionary authority 1 university did not use any of the discretionary authority2002-2003 5% across the board for in-state students 5% across the board for in-state students Up to an additional 5% discretionary increase for in-state graduate students Up to an additional 5% discretionary increase for in-state graduate students 10% across the board for out-of-state students 10% across the board for out-of-state students Up to an additional 10% discretionary increase for all out-of- state students Up to an additional 10% discretionary increase for all out-of- state students

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7 2002-2003 Tuition Increases in other States 18 states increased tuition and fees 10 percent or more as compared to nine states in 2001-02 18 states increased tuition and fees 10 percent or more as compared to nine states in 2001-02 Two states increased tuition and fees more than 20 percent and one state increased tuition and fees 3 percent or less Two states increased tuition and fees more than 20 percent and one state increased tuition and fees 3 percent or less Source: Washington State Tuition and Fee Report, January 2003. Washington Higher Education Coordinating Board

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18 Block/Flat Tuition In twenty-nine states, tuition is set at a flat rate for full time students (State Higher Education Executive Officers report dated June 2003) Examples of Institutions Texas Higher Education System implemented block fees for 12-18 credit hours Indiana-Bloomington implemented block fees for students taking 12 to 17 hours Oklahoma State University proposed to implement block fees for students taking 12 hours or more, however it was not approved Advantages It may increase the number of students that complete their degrees in four years because they can take additional courses for the same amount of tuition. It may generate additional revenue, however that is dependent on how the tuition increase is implemented. Disadvantages It may decrease the number of students that complete their degrees in four years because they may take less courses based on the block tuition. If the required course offerings are not increased; the necessary courses will not be available. Therefore, it may not shorten the time to obtain a degree.

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19 Pros Cons + Provides additional fiscal resources to institutions + Increases incentive to enroll students and expand access + Increases student’s incentive to complete programs and use state-subsidized institutions efficiently Flexibility of Tuition and Fees Allow tuition and fee flexibility to move to the national average of public institutions* + Increases costs for many students + Increases demand for need-based financial aid + Requires changes to Bright Futures + Jeopardizes current configuration of Florida Prepaid College Program  Allow institutions flexibility to propose tuition and fee increases up to the national average of their peers. Proposals for increases should be tied to mission of the institution and recognize state goals for improving quality and expanding access.  To implement this recommendation, institutions should submit a tuition and fees plan for approval by FBOE. Plans need not be limited to across-the-board increases.  Allow different tuition levels for different programs  Use tuition rate incentives to encourage students to accelerate their progress  Charge more for excess hours beyond graduation requirements  Require institutions to fund need-based financial aid programs  Offer incentives for 2+2 and off-peak enrollment to make better use of staff and facilities  Offer block tuition rates  Refund out-of-state tuition differentials for out-of-state students who obtain employment and remain in Florida after graduation Present Situation: Only two other states have lower university tuition than Florida, when comparing the amount of tuition and fees charged to resident undergraduates at public universities. For community colleges, Florida ranks 30 th among the states in the amount of fees charged to residents for college credit programs. Recommendation: *See attached Minority Report Source: Higher Education Funding Advisory Council

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22 Local Fees These fees are also included in Section 1009.24, Florida Statutes, and the increase in fees is determined by a fee committee, at least one-half of whom are students appointed by the student body president. Final approval rests with the university boards of trustees. Activity and Service Fee – SUS average is $9.19 Activity and Service Fee – SUS average is $9.19 Athletic Fee – SUS average is $8.07 Athletic Fee – SUS average is $8.07 Health Fee – SUS average is $5.33 Health Fee – SUS average is $5.33 These fees are capped at 40 percent of tuition.